1. In all problems, unless instructed otherwise, compute hourly rate and overtime rates as follows:

   1. Carry the hourly rate and the overtime rate to 3 decimal places and then round off to 2 decimal places.

   2. If the third decimal place is 5 or more, round to the next higher cent.

   3. If the third decimal place is less than 5, drop the third decimal place.

   Beth is a waitress at the Boston Eatery. She receives a weekly wage of $85.00 plus tips for a 40-hour workweek. Her usual tips range from $250-$275 per week.
   1. Under the Fair Labor Standards Act, what is the minimum amount of wages (for a tipped employee) that she must receive for a 40-hour workweek?

2. Is the employer paying her enough per week to meet the minimum requirements of the FLSA for a tipped employee? Why?

3. If you answered that they are not paying her enough, how much more does the employer need to pay Johnson each week in order to meet the minimum wage requirement for a tipped employee?